Category Archives: Construction Services

Cathodic Protection Construction and Inflation

How Today’s Supply Chain Issues Affect Our Industry

For over a decade both the consumer and construction worlds have enjoyed very stable pricing with modest annual increases. 2021 is a very different picture. Suppliers are dealing with supply chain issues and price spikes. These increases far exceed the 2-3% we typically see for cathodic protection construction projects.

Cathodic Protection Construction

In today’s environment, manufacturers and service providers deal with this uncertainty by providing quotes with very limited duration. In some cases quotes are only valid for a few days. This is a far cry from the 30- to 90-day validity once common in the industry.

The challenge for everyone in the industry is the lag time between the budgeting phase of a project and the purchase of materials. For major projects, the planning, permitting and pre-construction phases of a project can take years.

It is important to note that the inflation figures we see quoted in the news are typically “consumer price index.” These inflation figures run about half of the less reported “producer price index,” which more accurately captures manufacturers’ material costs.

When you hear that the core inflation rate is 4 or 5%, you can reasonably expect that material costs are rising at 8-10%.

What can companies performing cathodic protection construction do to manage project budgets in an inflationary environment?

  • Take action quickly. Time is money. The longer you wait to purchase materials and services, the more you can expect to pay for them. Once you have approval for a cathodic protection project, order the key materials quickly.
  • Share the inflation risks fairly with your suppliers and contractors. Holding a contractor to yesterday’s prices is unrealistic and unsustainable. That contractor will be looking for ways to cut costs. And they may accomplish it by cutting quality, reducing the scope, substituting cheaper materials, or demanding change orders at every opportunity. This type of relationship does not benefit any of the parties.
  • Consider ordering materials separately from construction. This applies especially to materials you can pre-stage, have long storage life, or repurpose easily for other projects.
  • Be realistic when providing project schedules. Haven’t nailed down all the landowner or permit issues? Then don’t tell your suppliers and contractors that you expect the project to kick off next month.

What is MATCOR doing to address issues related to cathodic protection construction projects?

As a supplier of cathodic protection materials and construction services, MATCOR takes a team approach. We are eager to engage with customers and work together to minimize impacts from supply chain disruptions and price increases.

Stretch Your Cathodic Protection Budget

Now is a great time to think about stretching your 2021 budget and getting a jump start on 2022.

Days are growing shorter and long summer days are turning to dark winter days. This makes it difficult to spend the last of your CP budget dollars on completed construction projects this year.

Equipment and crews are generally already booked. However, MATCOR and our sister company JA Electronics can still help you spend your 2021 budget dollars productively.

We still have manufacturing capacity for this year. Purchasing cathodic protection anodes, rectifiers and other CP components now can help use up those remaining funds while also giving you a head start on 2022 projects.

Get Your Act Together

The first quarter is often a slower quarter in the construction business since companies are still planning their 2022 CP spend.

But what if you had your act together and were ready to start cathodic protection construction projects earlier in the year?

Well, we at MATCOR are eager to talk to you about special off-season pricing that we can offer for Q1 projects. Are you in a position to buy materials in Q4 and install them in Q1 of 2022? We can load share our construction capacity and provide off-peak pricing, making it very attractive indeed to have your act together.


Have questions or need a quote cathodic protection materials or construction services? Contact us at the link below. For immediate assistance, please call +1-215-348-2974.

Contact a Corrosion Expert

Trying to Complete 2020 CP Projects?

Can this year end any sooner?

Wait, I still have stuff that needs to be completed this year!

This is a sentiment that many of us feel. It’s been a crazy year the likes of which we have never seen before and hopefully we will not see again.

But before we turn the page on 2020, many of our clients have expressed to MATCOR that they still have projects that were supposed to be completed in 2020—budgeted projects that still need to be completed this year. Between the lockdowns and the uncertainty over oil prices, too many projects were delayed or slow to get started. Now that we are several weeks into the fourth quarter and the weather is starting to turn, the working daylight hours are winnowing, the holidays are approaching, and the demand for cathodic protection installations is quickly filling up the available capacity in the market place.  There are only so many hours left in this year.

MATCOR is here to help.

We are working as hard as we can to satisfy as many customers as possible with our remaining capacity, and we are also encouraging customers to consider getting an early start to their 2021 construction project schedule.

Typically, January and February are slow construction months. In part this is because of weather issues, but often it is a budget cycle issue – clients are still finalizing their budgets, project teams are just getting back from the holiday season, and bid packages are being developed to be issued in February or March for a lot of CP construction work.  We expect 2021 will be a very busy year as owners and operators catch up on work that was pushed out, could not be completed in 2020, and begin to comply with new PHMSA Mega Rule requirements.

Purchase Cathodic Protection Materials Now with Your 2020 Budget for Installation in 2021.

Trying to Complete 2020 CP Projects?

We encourage all customers to consider getting started early – MATCOR is available to work with you.  If you have 2020 budget money but are not able to get the work completed in 2020, consider purchasing the materials with your 2020 monies and completing the installations in early 2021.  MATCOR can work with you to procure and store the materials and to plan an early first quarter installation.

Contact your MATCOR representative at the link below to discuss options for work that has been delayed or that needs to be done quickly.  We will do our best to support you.


Contact a Corrosion Expert

More New Equipment to Benefit You!

Vacuum excavation added to our wide range of cathodic protection construction services.

MATCOR continues to invest in new equipment to allow us to perform your projects in an efficient and safe manner with minimal downtime. MATCOR has seen an unprecedented investment in new equipment, having added multiple new drilling rigs to our fleet while rotating out our older models, purchased new water trucks, added MudPuppy mud cleaners and recyclers, and commissioned two new HDD rigs in the past three years.

But that is not all, MATCOR is very excited to roll out a new capability to our service line. We have purchased two state of the art Vacuum Excavators.

Vacuum excavation services now available.

These two new vacuum excavators are dual air and water units allowing MATCOR’s crew to operate efficiently in a wide range of environments. “Big Air” compressor capability provides 300 lbs. of cutting capability, enabling us to excavate in many areas without the need for water.

The excavated material is vacuumed up in a dry form with significantly less mess and environmental impact. This allows for the expeditious backfilling of the excavation with the same material that had been removed. It also eliminates the need to haul off any spoils or haul in fresh fill materials.

Our new excavators are dual capable units that also incorporate a hydro excavation capability. High pressure water is more aggressive and can cut through virtually any soil type including more compact, rocky and dense soil that may preclude the use of air. The hydro capability is also great for cleaning the pipeline once excavated to enable physical inspections and making test station or negative connections.

MATCOR is excited to be adding vacuum excavation to our in-house construction capabilities allowing us to provide a wide range of additional services to our customers.

If you have questions, or for information on MATCOR’s construction capabilities, please contact us at the link below.

Contact a Corrosion Expert

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